**Baja California Among Six States with Job Losses in July**
July 2024 saw Baja California reporting a significant decline in formal employment, with a reduction rate of -1.1% in jobs registered with the Mexican Social Security Institute (IMSS). This placed Baja California among the six states in Mexico that experienced negative employment figures for the month.
Tabasco faced the steepest decline with a -10.8% annual comparison, followed by Zacatecas (-1.9%), Baja California (-1.1%), Chihuahua (-0.8%), Durango (-0.2%), and Baja California Sur (-0.1%).
Conversely, Chiapas led the states with job growth, showcasing a 6.4% annual increase.
In July, Mexico generated 36,131 new jobs but also witnessed a loss of 23,787 jobs, resulting in a net monthly increase of 12,344 positions (0.1%) compared to June 2024. This brought the total number of workers to 22,331,788, with 86.6% holding permanent positions and the remainder in temporary roles.
Compared to July 2023, there was an annual increase of 446,649 jobs, a 2.0% rise.
The transport and communications sector generated the most jobs in July 2024, increasing by 5.6% annually, followed by commerce (3.2%), construction (3.0%), business services (2.4%), social and communal services (2.3%), electric industry (2.0%), manufacturing (0.3%), and the extractive sector (0.2%). In contrast, the agricultural sector reported a -3.3% decline.
Mónica Flores, president of ManpowerGroup LATAM, commented on the employment figures, stating that despite not being a large number, the employment generation remains positive without massive layoffs, although it has yet to cover the entire working-age population.
Flores noted that job generation is slower than in the previous year, with 500,000 new jobs by this time in 2023, compared to only reaching 300,000 this year. She highlighted that most job losses were in temporary positions, with a reduction of 119,000 jobs since March 2024.
Looking ahead, ManpowerGroup LATAM anticipates the creation of 250,000 to 300,000 formal jobs in the third quarter of the year. Around 45% of employers in Mexico plan to expand their workforce, with the energy and communication services sectors expected to see the most significant hiring increases.
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**Additional News: Northern Mexico Faces Unemployment Woes Amid Economic Uncertainties**
Recent reports have unveiled broader regional challenges with Northern Mexico grappling with its unemployment crisis. The region is witnessing substantial job losses amid economic uncertainties tied to global market conditions and domestic policy changes.
Particularly, the automotive and manufacturing sectors, which are pivotal for states like Nuevo León and Coahuila, have been significantly impacted. Factories have either reduced operations or temporarily shut down, leading to a surge in unemployment rates.
Local governments are stepping in with intervention measures, such as offering job training programs and incentives for companies to retain employees. However, experts argue that a comprehensive strategy involving both public and private sectors is essential to address the underlying issues effectively.
For instance, the state of Sonora has initiated collaboration with international firms to attract new investments, while Jalisco focuses on boosting its technology sector to create high-skilled job opportunities.
The outcome of these strategies remains to be seen, but it’s clear that the region’s economic recovery heavily relies on adaptation and innovation to overcome current employment challenges.